HARARE – Zimbabwe can take advantage of its huge mineral endowment to achieve its Vision 2030 targets, according to the country’s Finance Minister, Mthuli Ncube. Under the Vision 2030 programme, Zimbabwe has set a target to achieve middle income status, with per capita incomes of up to $4 500.
Ncube says there are investment opportunities in several minerals estimated at about 40, that investors can set out to extract and push mining sector revenues higher, as well as taxes to the State.
He said this in a recent presentation to investors, as part as his global strategy that is meant to raise awareness about investment opportunities in Zimbabwe. Ncube said he had huge confidence in the country’s gold, platinum and chrome subsectors, which he said investors can take a serious look at. “Zimbabwe’s highly anticipated gold sector is on a ten-year growth path,” Ncube’s presentation said.
All 40 major minerals have been identified, with the second largest platinum reserves and Zimbabwe is second largest producer of ferrochrome in Africa. Zimbabwe requires an estimated $11billion of capital expenditure to modernise its existing mines.
Furthermore, almost all minerals are exported from Zimbabwe in their unprocessed state. This allows opportunities for investors in the value-add stage of production,” the minister said. “Despite all the challenges, the economy still remains vibrant.
We have a target per capita income level of at least $4 500 by 2030. This implies a sustained growth in nominal GDP from the 2018 levels of around $25 billion to around $65 billion by 2030. The private sector is expected to stimulate growth, with Zimbabwe assuming the position of a factory to the world.
This will be complemented by increased competition to bring down prices,” he noted. Foreign investor interest has been growing in Zimbabwe since 2017, when long-time leader, Robert Mugabe was ousted in a military intervention.
The Chamber of Mines says with the exception of platinum producers, all other mines, including those of gold, nickel, cobalt and coal were operating below their installed capacity. Mining contributes about $3 billion to Zimbabwe’s economy a year.